PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years Ended December 31, 2005 and 2004 Expressed in millions of Rupiah, unless otherwise stated
111
43. PENSION AND SEVERANCE continued
Pension Plan continued The members of the defined benefit pension plans originated from the legacy banks who have
rendered three or more service years at the time of merger and are comprised of active employees of the Bank, deferred members those whose employment has been terminated but for whom the
beneficial rights were not transferred to other pension plans, and pensioners.
As of December 31, 2005 and 2004, the calculation of the fair value of plan assets and projected benefit obligation is based on the independent actuarial report of PT Dayamandiri Dharmakonsilindo
dated March 2, 2006 and February 11, 2005, respectively. In its calculation, the actuary used the following assumptions:
DPBM I
DPBM II DPBM III
DPBM IV
Discount rate 12 per annum
2004 : 9 12 per annum
2004 : 9 12 per annum
2004 : 9 12 per annum
2004 : 9 Expected rate of return on
plan assets 12 per annum
2004 : 10 12 per annum
2004 : 10 12 per annum
2004 : 10 12 per annum
2004 : 10 Working period used
As of July 31, 1999 As of July 31, 1999
As of July 31, 1999 As of July 31, 1999
Pensionable salary used As of January 1,
2003, adjusted amount over legacy
banks’ pensionable salary
As of January 1, 2003, adjusted
amount over legacy banks’ pensionable
salary As of January 1,
2003, adjusted amount over legacy
banks’ pensionable salary
As of January 1, 2003, adjusted
amount over legacy banks’ pensionable
salary Expected rates of
pensionable salary increase Nil
Nil Nil
Nil Mortality rate table
CSO-1958 CSO-1958
CSO-1958 CSO-1958
Turnover rate 5 up to
employees’ age of 25 and reducing
linearly by 0.25 for each year up to 0 at
age 45 and thereafter
5 up to employees’ age of
25 and reducing linearly by 0.25 for
each year up to 0 at age 45 and
thereafter 5 up to
employees’ age of 25 and reducing
linearly by 0.25 for each year up to 0
at age 45 and thereafter
5 up to employees’ age of
25 and reducing linearly by 0.25 for
each year up to 0 at age 45 and
thereafter Disability rate
10 of mortality rate 10 of mortality rate
10 of mortality rate 10 of mortality rate
Actuarial method Projected Unit
Credit Projected Unit
Credit Projected Unit
Credit Projected Unit
Credit Normal pension age
56 years for all grades
56 years for all grades
56 years for all grades
56 years for all grades
Maximum defined benefit amount
80 of latest gross pensionable
salary PhDP 80 of latest
gross pensionable salary PhDP
62.5 of latest gross pensionable salary
PhDP 75 of latest
gross pensionable salary PhDP
Expected rate of pension benefit increase
Nil Nil
Nil 4 every 2 years
Tax rates - average 15 of pension
benefit 15 of pension
benefit 15 of pension
benefit 15 of pension
benefit
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years Ended December 31, 2005 and 2004 Expressed in millions of Rupiah, unless otherwise stated
112
43. PENSION AND SEVERANCE continued
